Measuring SDG indicator 10.7.1 on recruitment costs of migrant workers:Results from the recruitment cost-module in Maldives, 2019

Maldives Bureau of Statistics (MBS) with financial support from World Bank (WB) and technical assistance from the International Labour Organization (ILO) has introduced the Recruitment Cost module to the Household Income and Expenditure survey labour quarter component. The recruitment survey module was integrated into the Household Income and Expenditure survey labour quarter component. Because the survey was designed to be implemented in the labour quarters, the number of female migrant workers may be insufficient in the sample to reflect the real situation of the female migrant worker. Normal households as well as those labour quarters with less than 10 people were excluded from this study as the recruitment cost data were not available.

The analysis includes 75,537 migrant workers1 information of which 74,519 migrant workers were male. The results show differential levels in the recruitment costs in terms of the Nationality, skills (occupation) and sectors (industries). The average earnings of the migrant workers during their first month of working in Maldives within the past three years was about MVR 33,487 (approximately 2,172). The overall, recruitment cost indicator is an estimated 8.2 months. This means that it takes migrant workers an average 8.2 months to earn the equivalent of what they spent to access their job in Maldives.

SDG indicator 10.7.1 or the RCI is calculated as a ratio between the total recruitment costs paid by a migrant worker and the first month of earnings in the first job within the past three years. It shows the number of months that a migrant worker must work to cover the recruitment costs.

Migrant workers spent on average more than eight months of their salary (8.2 months) to pay back the recruitment costs for a job in Maldives. Migrant workers from Bangladesh used an average 11.2 months of their salary to cover their recruit­ment expenses. In terms of industry or the sector of work, workers in the manufacturing sector used the greatest portion of their first-year income, at 10.3 months salary. As for skill level, migrant workers in high-skill occupations used only 2.3 months of their income on average, compared with 8.5 months of average earnings by medium-skills workers for their recruitment costs.

Bangladesh: Labour force survey 2022

Labour statistics is the collection, analysis, and reporting of data related to labour and employment. These statistics express the performance, trends, and characteristics of the labour market. It is also beneficial to governments, policymakers, entrepreneurs, researchers and the public which helps understand and help to informed decisions about employment and workforce-related issues. It ensures the fair treatment and protection of workers' rights. Thus labour statistics play a crucial role in comprehending the challenges and opportunities within the labour market, guiding policy decisions to enhance labour conditions, create employment opportunities, and promote economic growth. The Labour Force Survey has been conducted with 4 to 5 years intervals in Bangladesh since 1980.

This survey has been conducted under the project of Improving Labour Market Information system (ILMIS) project aims to meet the data demand achieving the 8th five-year plan, SD's indicators, other data relating to employment, unemployment and overall key issues addressed to labour market in Bangladesh.

Labour Force Survey is a household-based sample survey which provides statistics on the characteristics of labour force at the national and divisional levels. The survey findings will allow to provide input for labour market analysis to monitor the progress of programs taken by the government in particular creation of employment in the country. This survey will truly work as the mirror of development by reflecting the picture of labour market development of the country.

The chapter 15 of this publication is dedicated to the measure the recruitment cost and income of migrant workers. One of the findings of the study indicates that recruitment costs are significantly higher for male labour migrants compared to female. The proportion of recruitment cost in a monthly earnings varies broadly between male and female. To recover recruitment cost, female needs 7.8 months whereas male needs long 15.1 months.

Guidance note: Wage protection for migrant workers

Working time and wages are the working conditions that have the most direct and tangible effect on the everyday lives of workers and employers. Wages can determine job choice, the number of hours worked, and whether or not to migrate for employment. Adequate wages that ensure a fair share of the fruits of progress to all and standards for wage protection lie at the heart of the ILO’s mandate on social justice and the promotion of decent work.

Dhaka Principles for migration with dignity

The Dhaka Principles have been developed by the Institute for Human Rights and Business (IHRB) following extensive consultation, and are supported by business, governments, trade unions and civil society. They were first unveiled to the public at a roundtable on migration in Dhaka, Bangladesh, in June 2011. They are based on the UN Guiding Principles on Business and Human Rights and international human rights principles. The Dhaka Principles outline the worker's roadmap from recruitment through employment to termination, providing key principles that employers and recruiters of migrant workers must adhere to in order to ensure migration with dignity.

Migrant Worker Guidelines for Employers

This publication is to provide practical guidance for business enterprises on how to recruit and employ international migrant workers ethically and responsibly. The guidance offers concrete steps employers across various sectors can take to run their businesses in a manner that respects human and labour rights of migrant workers. The guidance is primarily for human resources and personnel engaged with migrant workers and can be integrated in existing company policies, procedures and practices.

The guidance builds on the United Nations Guiding Principles on Business and Human Rights (UNGP) and relevant international human rights and labour standards and frameworks on international migration. It has been developed as part of the IOM’s Corporate Responsibility in Eliminating Slavery and Trafficking (CREST) initiative, through an extensive multi-stakeholder consultation process.

The guidance is accompanied by a set of supporting tools including checklists, guidance notes and other useful documents, to help employers develop and implement the system, principles and practices to manage the labour migration process.

Supporting tools

• Summary - Common challenges and Risks Experienced by Migrant Workers at All Stages of Labour Migration
• Checklist - Labour Recruiter Service Agreements
• Guidance Note - Recruitment Fees and Related Costs
• Checklist - Employment Contracts
• Checklist - Migrant Workers' Accommodations

Research and Policy Brief: Avenues for exploited migrant workers to remain in their country of employment to pursue labour remedies

Exploited migrant workers often don't raise complaints because they fear losing their visa or being deported. There is generally no opportunity for migrant workers to pursue wage claims at the end of their stay because they must immediately leave the country.

As a result, abusive employers are never held to account, and the vast majority return home without the wages they are owed. Pursuing claims after they leave is extremely difficult.

Governments must create migration frameworks that reduce the vulnerability of migrant workers who address exploitation, and enable exploited migrants to extend their stay for a short period in the country of employment to remedy wage theft and hold employers accountable for labour violations.

This new Research and Policy Brief sets out best practice models that governments should consider implementing, with discussion of current global examples of promising laws and policies intended to achieve these goals.

This includes current examples of

• visa portability for exploited migrant workers to bring claims and find a new sponsor,

• short term visas with work rights to pursue wage claims at the end of a migrant worker’s stay,

• deferral of removal (with work rights) for undocumented workers who pursue labour claims, and

• visas for victims of trafficking and criminal wage theft and exploitation to pursue civil labour claims.

The Brief is accompanied by a more detailed case study of recent advances in the United States.

Analysis Report of Recruitment Reviews from Nepali migrant workers

This report explores recruitment practices of recruitment agencies based on the reviews from 1,593 reviewers provided to Recruitment Advisor.

The study found that:

- Sub-agents and middlemen continue to play an important role in facilitating the migration of Nepalis in foreign employment.

- Migrant workers are paying high recruitment and other related fees.

- Majority of migrant workers took pre-departure training.

- Migrant workers continue to be deceived about their job, salary, and benefits. 

- Passports of the workers were withheld by the employer. 

- Migrant workers were deprived of freedom of association and right to return. 

- Most migrant workers less informed about recruitment agency and employer.

The report also proposes ways forward regarding the identified problems.

Visual tool on the ILO definition of recruitment fees and costs

The definition of recruitment fees and related costs, adopted by a Tripartite Meeting of Experts, held in Geneva in November 2018. The definition recognizes the principle that workers shall not be charged directly or indirectly, in whole or in part, any fees or related costs for their recruitment. This comprehensive definition is guided by international labour standards and should be read together with the General Principles and Operational Guidelines for Fair Recruitment.

The definition is intended to support the development, monitoring, implementation and enforcement of laws, policies and measures aimed at the protection of workers’ rights. It also supports development and implementation of effective regulation of recruitment practices to combat non-compliance, support transparency of recruitment practices, as well as enhance the functioning of labour markets. Considering the complexity of the definition, this new tool helps navigate its various components in an interactive and accessible manner.

Considering the complexity of the definition, the ILO developed a new visual tool on the ILO definition of recruitment fees and costs. This new tool helps navigate its various components in an interactive and accessible manner.